Post by : Badri Ariffin

On Tuesday, US President Donald Trump announced the retraction of his proposed 20% reimbursement fee on cargo traversing the Strait of Hormuz. Instead, he revealed a new initiative involving substantial trade and investment commitments from Gulf nations to the United States.

In a statement on Truth Social, Trump affirmed that the strategic waterway would remain accessible to global vessels, with the exception of those associated with Iran. He credited the presence of the US military for securing one of the busiest maritime routes worldwide.

This announcement follows Trump’s initial proposal to impose the cargo fee just a day earlier.

Trump Discusses Policy Shift

Detailing his rationale, Trump explained that dialogues with Middle Eastern leaders led him to exchange the cargo fee for new economic partnerships.

"Following productive conversations with leaders from the region, I’ve opted to replace the 20% US Reimbursement Fee with Trade and Investment Deals from various Gulf States to the United States," Trump stated.

He predicted that these investments would notably enhance manufacturing capabilities in the country.

According to Trump, the agreements could facilitate the establishment of factories and industrial facilities, generating millions of high-quality jobs for Americans.

US Military Praised Amid Continued Shipping

Trump commended the US military for ensuring that oil continues to flow through the Strait of Hormuz, despite the ongoing tensions with Iran.

"Thanks to the remarkable strength of the US Military, oil shipments are flowing like never before," he added.

He also acknowledged Secretary of War Pete Hegseth, Joint Chiefs Chairman Dan Caine, and CENTCOM Commander Admiral Brad Cooper for their roles in this success.

Iran-Only Shipping Blockade Intact

Although the cargo fee has been cancelled, Trump confirmed that a blockade focused on Iran would persist.

He labeled it a "FULL Blockade," applicable solely to vessels heading to or from Iranian ports or transporting Iranian goods.

Trump reiterated his viewpoint that Iran’s regime is leading the nation towards complete ruin, insisting that they must never acquire nuclear weaponry.

Decision Follows Earlier 'Guardian of the Hormuz Strait' Strategy

This recent declaration represents a notable shift from Trump’s earlier policy, in which he had referred to the United States as the "Guardian of the Hormuz Strait".

Previously, he suggested that a 20% cargo fee would be mandated for all vessels operating in the strait, arguing for compensation for US security efforts over a critical shipping route.

Simultaneously, he announced a blockade targeting Iranian ships, allowing all other nations to transit freely.

Iran Dismisses US Initiative

Iran swiftly rebutted Trump’s proposals, asserting they would not permit US oversight of the Strait of Hormuz.

Tehran's joint military command warned against any US operations in the area lacking Iranian authorization, stating such efforts would be met with resistance.

Iran further cautioned regional partners against collaborating with Washington, indicating any support for the US initiative would be viewed as an act of war.

Ongoing Regional Tensions

This latest development underscores the persistent military discord between the United States and Iran throughout the Gulf region. Despite Trump’s cancellation of the cargo fee proposal, concerns regarding regional stability and global energy supplies continue to loom as both parties engage in pointed exchanges.

#Global News #Donald Trump #Trump News #World News